Plans are being unveiled to re-introduce banking facilities to Whitby as branch closures start to have a “major impact” on small businesses and residents.
York and North Yorkshire Combined Authority (YNYCA) is making funding pots of between £30,000 and £400,000 available, to a total of £1.2m, for projects to reintroduce banking facilities to the town as well as Bentham, Catterick Garrison & Colburn, Filey, Haxby, Leyburn, Settle and Tadcaster.
These locations are deemed to have the greatest need as high street bank closures over recent years are now presenting “tangible and significant challenges”.
The town has lost all its banking locations in town including Natwest, Yorkshire Bank, Halifax and HSBC from Baxtergate and TSB on Flowergate.
There is a bank hub on Church Street, but it has limited opening hours and limited services.
Residents are having to make three hour round trips to carry out basic banking tasks, businesses who need to make regular cash deposits and transactions are facing sustainability issues and there is an overall impact on high street footfalls.
Ali Hussain, is the owner of newly opened bar, The Treasury, in what was the old HSBC bank which closed three years ago.
Ironically, Ali said his new business venture has led to many conversations about the difficulties local people face when banks close.
He said: “I think the closure of high street banks is hugely regrettable and, for rural towns like Whitby, extremely inconvenient. A simple banking trip can take up to three hours, costing valuable time and increasing environmental impact.
“I understand and welcome technology playing its part; however, day-to-day banking inefficiencies and the loss of personal relationships, including not knowing your bank manager, are a concern.
“Ironically, in the past twelve months I have had numerous conversations about how important a bank was, particularly in Whitby, to the community.
“It was a place that shaped people’s futures, where they could interact with another human being, and where life-changing moments occurred. Many took out their first mortgage there or went with their parents to act as guarantors for car loans that enabled them to commute to work. Decisions were often based on personal relationships.”
Applications for the new funding are being welcomed from individual organisations and partnerships, with collaboration between financial service providers and community organisations strongly encouraged.
The fund will support proposals which improve access to cash withdrawals and deposits, business banking services, and everyday account management.
These could be entirely new provisions, pop-up services or a new bank service in an existing community or high street building, for example.
Applications which provide wider community benefits, such as financial wellbeing support, business engagement activities and community partnerships, are encouraged.
The fund is now open to applications, which close on September 30 this year. Applications will be appraised in October and contracts arranged in November for starts before 2028.
Projects have to be for at least three years.
David Skaith, Mayor of York and North Yorkshire said: “Having access to banking services is still incredibly important for many people, businesses and communities across York and North Yorkshire.
“The continued closure of bank branches has left many residents with fewer options for managing their finances, while local businesses still need access to face-to-face banking services to operate effectively.
“Keeping these services available isn’t just about banking – it’s about supporting local businesses, helping our high streets succeed, and making sure our communities can continue to thrive.”
